Betsy Graseck's questions to Northern Trust Corp (NTRS) leadership • Q4 2024
Question
Betsy Graseck asked how Northern Trust has successfully reduced headcount in its Asset Servicing business while maintaining high service quality, a known historical challenge. She also inquired about the forward outlook for these efficiency gains and the expected duration of benefits from the new structure.
Answer
Chairman and CEO Michael O'Grady attributed the success to a fundamental organizational change: the creation of a Chief Operating Officer role to centralize, standardize, and automate operations. He stated this improves service and resiliency through technology investments. O'Grady added that while these are multiyear initiatives, the greatest benefits are expected in the next 2-3 years, with a structure designed for sustainable, ongoing efficiencies.